HomeMy WebLinkAboutMinutes - 2003.02.27 - 35792CHUCK MOSS
Chairperson
LAWRENCE A. OBRECHT
Vice Chairperson
VINCENT GREGORY
Minority Vice Chairperson
February 27, 2003
Chairperson Moss called the meeting of the Finance Committee to order at 9:00 a.m., in Committee
Room A, Commissioners' Wing, County Service Center, Pontiac, Michigan.
COMMITTEE MEMBERS PRESENT :
Chuck Moss, Chair; Vincent Gregory, Minority Vice Chair; Hugh D. Crawford; Peter Webster;
Thomas Middleton; George Suarez.
COMMITTEE MEMBERS ABSENT WITH NOTICE:
Lawrence A. Obrecht, Chuck Palmer, William Patterson, Helaine Zack.
OTHERS PRESENT :
ARTS, CULTURE & FILM Kristie Everett Zamora, Arts Coordinator
AVIATION Pat Shull, Supervisor
CORPORATION COUNSEL Judy Cunningham, Corporation Counsel
COUNTY EXECUTIVE Robert Daddow, Assistant Deputy
Jerry Poisson, Assistant Deputy
FISCAL SERVICES Tim Soave, Manager
LaVerne Smith, Supervisor
Joe Matkosky, Supervisor
Stefania Rodgers, Supervisor
Lynn Sonkiss, Chief
Michael Pohlod, Analyst
Linda Pearson, Analyst
INFORMATION TECHNOLOGY Mike Wilk, Deputy Director
Janette McKenna
MANAGEMENT & BUDGET Ed Poisson, Deputy Director
PERSONNEL Judy Eaton, Director
Karen Jones, Labor Specialist
SHERIFF Mike McCabe, Chief of Staff
Damon Shields, Captain
Tim Atkins, Lieutenant
TREASURER Patrick Dohany, Treasurer
OTHERS/CITIZENS J. Michael Dornan, Wixom City Manager
Anthony Nowicki, As st. City Manager
OAKLAND PRESS Charlie Crumm, Reporter
FREE PRESS Kathy Gray, Reporter
BOARD OF COMMISSIONERS James H. VanLeuven, Administrative Director
Harvey Wedell, Analyst
Helen Hanger, Sr. Committee Coordinator
APPROVAL OF THE PREVIOUS MINUTES
OAKLAND COUNTY BOARD OF COMMISSIONERS
1200 N. TELEGRAPH ROAD, PONTIAC, MI 48341-0470
Telephone (248) 858 -0100 FAX (248) 858-1572
FINANCE COMMITTEE Charles Palmer
William Patterson
Hugh D. Crawford
Peter Webster
Thomas Middleton
George Suarez
Helaine Zack
FINANCE COMMITTEE Page 2
February 27, 2003
Suarez moved approval of the minutes of February 6, 2003, as printed. Supported by
Gregory.
Motion carried on a voice vote.
PUBLIC COMMENT:
None.
5. CONTINGENCY REPORT
There are no items on today's agenda that will affect the Conting ency Fund; therefore, the balance
will remain at $276,274.
CONSENT AGENDA
6a. RESOLUTION TO AUTHORIZE OAKLAND COUNTY WATER SUPPLY REFUNDING
BONDS (CITY OF ORCHARD LAKE VILLAGE - 2003)
The City of Orchard Lake Village is requesting authorization to refu nd outstanding 1994 Prior Bonds
of $2,605,000, for the City of Orchard Lake Village Water Supply System, at favorable interest rates
expected to result in a savings of $286,158 for the City of Orchard Lake.
6b. RESOLUTION TO AUTHORIZE OAKLAND WATERFORD I RON REMOVAL FACILITIES
REFUNDING BONDS, SERIES 2003
Waterford Township is requesting authorization to refund outstanding 1992 Prior Bonds of
$2,900,000, for the Waterford Water Supply System Iron Removal Water Treatment Facilities, at
favorable interest ra tes expected to result in a savings of $122,058 for Waterford Township.
6c. DRAIN COMMISSIONER - PEBBLE CREEK DRAINAGE DISTRICT REFUNDING
The Pebble Creek Drain Drainage Board is requesting authorization to refund outstanding Series
2003 bonds of $2,450,000, at favorable interest rates expected to result in a savings of $158,270 for
the Drainage Board.
6d. DRAIN COMMISSIONER - ACACIA PARK CSO DRAINAGE DISTRICT
The Acacia Park CSO Drain Drainage Board is requesting authorization to refund outstanding
Series 1994B and Series 1995C bonds of $4,400,000, at favorable interest rates expected to result
in a savings of $327,630 for the Drainage Board.
6e. TREASURER - BLOOMFIELD HILLS CSO DRAINAGE DISTRICT, DRAIN REFUNDING
BONDS, SERIES 2003 - FULL FAITH AND CREDIT RESOLUTION
The Bloomfield Hills CSO Drainage District Drainage Board is requesting authorization to refund
outstanding Series 1994A bonds of $1,300,000, at favorable interest rates expected to result in a
savings of $150,564 for the Drainage Board.
6f. TREASURER - CHESTER DRAINAGE DISTRICT, DRAIN REFUNDING BONDS, SERIES
2003 - FULL FAITH AND CREDIT RESOLUTION
The Chester Drainage District Drainage Board is requesting authorization to refund outstanding
Series 1995 bonds of $1,950,000, at favorable in terest rates expected to result in a savings of
$197,519 for the Drainage Board.
6g. TREASURER - CRAKE DRAINAGE DISTRICT, DRAIN REFUNDING BONDS, SERIES 2003
- FULL FAITH AND CREDIT RESOLUTION
The Crake Drainage District Drainage Board is requesting aut horization to refund outstanding
Series 1991 bonds of $1,400,000, at favorable interest rates expected to result in a savings of
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February 27, 2003
$108,878 for the Drainage Board.
6h. TREASURER - CADDELL DRAINAGE DISTRICT, DRAIN REFUNDING BONDS, SERIES
2003 - FULL FAITH AND CREDIT RESOLUTION
The Caddell Drainage District Drainage Board is requesting authorization to refund outstanding
Series 1994 bonds of $1,300,000, at favorable interest rates expected to result in a savings of
$2,100,000 for the Drainage Board.
Crawford moved to recommend approval of the attached suggested Fiscal Notes for
Consent Agenda Items 6a. - 6h. Supported by Middleton.
Motion carried unanimously on a roll call vote with Obrecht, Palmer, Patterson and Zack absent.
REGULAR AGENDA
7. TREASURER'S OFFICE - POLICY FOR COUNTY PARTICIPATION IN DOWNTOWN
DEVELOPMENT AUTHORITIES (DDAS) AND LOCAL DEVELOPMENT FINANCE AUTHORITIES
(LDFAS) WITH TAX INCREMENT FINANCING
The Board of Commissioners' Tax Increment Financing District Review Policy Ad Hoc Review
Committee is recommending that the current policy for participation in Downtown Development
Authorities and Local Development Finance Authorities with tax increment financing be amended to
provide for negotiation and, if necessary, to opt -out of participation in these districts.
Mr. Dohany explained that the proposed changes to the policy are being recommended by the Ad
Hoc Review Committee to provide more flexibility when considering DDA proposals.
Mr. Dornan stated that he had received a copy of the polic y yesterday and had not had a chance to
review the proposed changes. One of his concerns is the proposed change regarding declining
property values. Following the input they had received from the Ad Hoc Committee last year,
Wixom has continued to develop its DDA plan and is requesting that the committee postpone action
on this item until the City had a chance to thoroughly review these changes and discuss them with
County staff.
Mr. Crawford indicated he would prefer that this item not be addressed tod ay so that Wixom and
Highland Township could review this information.
Mr. Potter stated he also had some concerns and indicated he would like to see a policy developed
that would help both the communities and the county in analyzing future proposals.
Ms. Cunningham commented that the language being proposed regarding declining property values
is directly taken from state statute. The burden to demonstrate this requirement is on the
requesting community.
Mr. Dohany stated that the document was a work in progress and that the Ad Hoc Committee did
not have a problem with it being referred back for further discussion. He advised the Finance
Committee he would be happy to meet with Wixom's representatives to review the revisions to their
plan.
Crawford moved to postpone this item until the April 10, 2003, Finance Committee meeting.
Supported by Suarez.
Motion carried unanimously on a roll call vote with Obrecht, Palmer, Patterson and Zack absent.
8. MR #03028 - SHERIFF DEPARTMENT - USE OF FORFEITED FUNDS F OR PURCHASE OF
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February 27, 2003
200 OF THE ADVANCED TASER M26
The Sheriff is requesting authorization to utilize $145,000 of its current forfeiture fund balance of
$659,273.79 for the purchase of 200 Advanced Taser M26 to be used for law enforcement purposes in
compliance with state law.
Captain McCabe reported that state statute allows law enforcement agencies to use these forfeiture funds
to enhance law enforcement efforts. There are over 1,000 agencies across the country currently utilizing
tasers as part of their law enforcement efforts. Orange County, Florida has used tasers for a number of
years and has experienced an 80% reduction in injuries to officers and offenders. On -going expenses will
be paid for by the forfeiture fund.
Suarez moved to recommend approval of the attached suggested Fiscal Note.
Supported by Crawford.
Motion carried unanimously on a roll call vote with Obrecht, Palmer, Patterson and Zack absent.
9. COUNTY EXECUTIVE/ARTS, CULTURE & FILM - MICHIGAN COUNCIL FOR ARTS AND
CULTURAL AFFAIRS BY FISCAL YEAR 2003 ADMINISTRATION PROGRAM GRANT APPLICATION
AND ACCEPTANCE
The Michigan Council for Arts and Cultural Affairs Administration Program has awarded Oakland County
FY 2003 funds of $13,700. This is a 2.14% decrease from the previous year's award. The County in-kind
match will consist of local and private contributions received and expended by the County Executive/Arts
Culture and Film General Fund. The resolution authorizes acceptance of this grant agreement.
Ms. Zamora distributed information on the current and previous year's minigrant recipients and a list of
applicants up for consideration of award in Round 3.
Middleton moved to recommend approval of the attached suggested Fiscal Note.
Supported by Gregory.
Motion carried on a roll call vote with Moss voting no and Obrecht, Palmer, Patterson and Zack
absent.
10. COUNTY EXECUTIVE/ARTS, CULTURE & FILM - MICHIGAN COUNCIL FOR ARTS AND
CULTURAL AFFAIRS BY FISCAL YEAR 2003 REGRANTING PROGRAM GRANT APPLICATION AND
ACCEPTANCE
The Michigan Council for Arts and Cultural Affairs has awarded Oakland County FY 2003 funds of $68,900.
This is a 1.85% or $1,300 decrease from the previous year's award. No County match or personnel is
required. These funds will be redistributed to arts organizations. T he resolution authorizes acceptance of
this grant agreement.
Suarez moved to recommend approval of the attached suggested Fiscal Note.
Supported by Crawford.
Motion carried unanimously on a roll call vote with Obrecht, Palmer, Patterson and Zack absent.
11. DEPARTMENT OF CENTRAL SERVICES - OAKLAND COUNTY INTERNATIONAL AIRPORT -
2003
GRANT PROGRAM ACCEPTANCE - DESIGN RELOCATION OF RUNWAY 18/36, NORTH T -HANGAR
AREA AND PERIMETER ROAD
Oakland County has received a Michigan Department of Transportation Grant co ntract, in a total amount of
$215,000, to provide consultant design for relocation of Runway 18/36, north T -Hangar area and Perimeter
Road. The program includes federal funding of $193,500, state funding of $10,750 and a local grant match
of $10,750, to be paid from existing Airport Funds. The Michigan Department of Transportation will act as
FINANCE COMMITTEE Page 5
February 27, 2003
agent on behalf of the County for administration of the project.
Middleton moved to recommend approval of the attached suggested Fiscal Note.
Supported by Gregory.
Motion carried unanimously on a roll call vote with Obrecht, Palmer, Patterson and Zack absent.
12. DEPARTMENT OF CENTRAL SERVICES - OAKLAND COUNTY INTERNATIONAL AIRPORT -
2003
GRANT PROGRAM ACCEPTANCE - DESIGN AND CONSTRUCT GROUND RUNUP ENCLOSURE
Oakland County has received a Michigan Department of Transportation Grant contract, in a total amount of
$2,654,000, to provide for design and construction of a ground runup enclosure. The program includes
federal funding of $2,388,600, state funding of $132,700 a nd a local grant match of $132,700, to be paid
from existing Airport Funds. The Michigan Department of Transportation will act as agent on behalf of the
County for administration of the project.
Crawford moved to recommend approval of the attached sugges ted Fiscal Note.
Supported by Suarez.
Motion carried unanimously on a roll call vote with Obrecht, Palmer, Patterson and Zack absent.
13. MR #03027 - PERSONNEL DEPARTMENT - FISCAL YEAR EXTENSION OF THE LABOR
AGREEMENT FOR EMPLOYEES REPRESENTED BY THE AM ERICAN FEDERATION OF STATE,
COUNTY AND MUNICIPAL EMPLOYEES (AFSCME) COUNCIL 25, LOCAL 2720
Personnel has negotiated a one -year contract extension with AFSCME Council 25, Local 2720,
representing 4 Board of Commissioners' employees, for the period October 1 , 2002 - October 1, 2003.
Contract provisions are consistent with non -represented employees and include a 1.5% salary increase
beginning September 21, 2002, and a 1.5% salary increase beginning March 22, 2003.
Suarez moved to recommend approval of the at tached suggested Fiscal Note.
Supported by Crawford.
Motion carried unanimously on a roll call vote with Obrecht, Palmer, Patterson and Zack absent.
14. MR #03026 - DEPARTMENT OF INFORMATION TECHNOLOGY - FIRST QUARTER 2003
DEVELOPMENT APPROPRIATION TRAN SFER
Information Technology is requesting authorization to appropriate and charge first quarter 2003
development costs to benefiting departments. Charges are $1,447,540.47 for data processing
development and $80,352.00 for imaging development. Direct charges to Special Revenue and Proprietary
fund departments are $103,575.00, with no charge this quarter to non -county agencies.
Suarez moved to recommend approval of the attached suggested Fiscal Note.
Supported by Webster.
Motion carried unanimously on a roll call vote with Obrecht, Palmer, Patterson and Zack absent.
Chairman Moss stated that the committee would consider communications at this time.
COMMUNICATIONS
A. Department of Management and Budget/Purchasing Division - Contract Exception Report fo r the
Month of January/February, 2003
B. Industrial Facility Exemption Certificate No. 1993 -620 (Deco Technologies, Inc., Troy, Michigan)
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February 27, 2003
Revoked 12/30/02
C. Industrial Facility Exemption Certification No. 1997 -417 (Osmic Inc., Troy, Michigan) Revoked
effective 12/30/02
D. Correspondence from Bob Daddow: Public Safety Answering Points (PSAP) Consolidation Project
Overview
E. CLEMIS Financial Statements - Quarter Ended December 31, 2002
F. PBX Usage by the Cities, Villages and Townships
Mr. Daddow provided a brief summary of the County's opportunity to expand use of its PBX for its
communities over the OAKNet for a voice over IP solution. Considerations regarding this service
are detailed in Item F.
G. State of Michigan - Executive Order 2003 - 3
Crawford moved to receive and file Communications A -G. Supported by Gregory.
Motion carried on a voice vote.
15. DEPARTMENT OF MANAGEMENT AND BUDGET - FISCAL YEAR 2003 FIRST QUARTER
FINANCIAL FORECAST AND BUDGET AMENDMENTS
Mr. Soave explained that the forecast was completed but has not been fully analyzed because of
Management and Budget's efforts to complete Item 16 and requested that this item be carried forward until
the next meeting on March 13, 2003.
There were no objections.
16. COUNTY EXECUTIVE RECOMMENDED BUDGET ADJUSTMENTS AND AMENDMENT TO THE
GENERAL APPROPRIATIONS ACT FY 2003 AND FY 2004
Mr. Daddow reviewed the events involving the State's budget problems and leading up to today's
recommendation to adjust and amend the FY 2003 and FY 2004 General Appropriations Act. The FY 2003
and FY 2004 budget was originally adopted with a $13.9 million shortfall, identified as Phase I. The
County's elected officials have submitted adjustments to address the FY 2004 shortfall. Phase II includes
adjustments as a result of declining property taxes, investments being less than anticipated, increased
health care costs, and jail overcrowding, an additional shortfall of $8.7 million. Savings resulting from the
Early Retirement Incentive, deletion of vacant positions, adjustments to operating budgets, reorganizations,
etc., as outlined in the Budget Document, have resulted in an adjusted FY 2004 budget task of $6.5 million,
to be addressed during Phase III. The Governor will be presenting budget recommendati ons to the state
legislature on March 6. It is anticipated that as the state continues to make further reductions, the County
will follow. This process is expected to continue over the next several years and will be dealt with on a
quarterly basis.
Ms. Eaton reviewed page 18 - Summary of Phase I Annualized Position Savings. Phase I personnel
savings of $7.9 million are a result of position deletions, position downgrades, reductions in summer
student funding, etc. Several reorganizations will be coming forward as a result of vacancies from
retirement and position deletions.
OTHER BUSINESS/ADJOURNMENT
There being no other business to come before the committee, the meeting was adjourned at
10:57 a.m.
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February 27, 2003
________________________ _______________________________
Helen Hanger James H. VanLeuven, Jr.
Senior Committee Coordinator Administrative Director
NOTE: The foregoing minutes are subject to Committee approval.